Toyota estimates $6.4 billion annual cost for factory automation from 2028

Toyota Motor estimates that modernizing its factories could cost 1 trillion yen ($6.4 billion) annually starting in 2028, as the company accelerates its deployment of automation and robotics. This investment estimate encompasses Toyota, its group companies, and major suppliers, with the goal of deploying around 400,000 robots. The figure includes both replacements for existing machinery and new installations of various robot types, including humanoid and non-humanoid models. The potential investment, discussed with investors earlier in September, covers industrial robots, automated logistics, and future human-robot collaboration on the factory floor. Automakers across the industry are increasingly turning to robotics to reduce costs and address challenges such as aging infrastructure and labor shortages. Analysts at Bernstein noted that Toyota's growing emphasis on robotics could enhance investor perception of growth opportunities beyond vehicle manufacturing. Hyundai, for instance, has stated its intention to deploy humanoid robots at its US plant starting in 2028.